In today's spa realm, the vast majority of resort and day spas with ample treatment rooms are typically looking at a 20 - 30% bottom line. This has become the mantra for this department's profit. Many moons ago when I began in this industry as the Spa Director of the 65,000 square foot spa at La Costa in northern San Diego County, my focus was, of course on guest service, but also my departments' financial success. Fortunately, I had a great Chief Financial Officer that worked closely with me on streamlining my operation. I had graduated from college with a degree in Business, so, unlike many of today's Spa managers, I had a real interest in the "numbers."

Upon my arrival to that property, the spa department was looking at a $2 + million annual income with a 35% net (no, that is not a typo, $2 million!) and within a year I brought that number to $4,200,000 per annum with a 47% departmental net profit. Granted, this was an enormous spa facility with tons and tons of treatment rooms, but there is no reason why the formula used here cannot be translated to all spas, regardless of their size.

Well, I ...